FTB i n Manchester - What to offer?

MortgageMamma

It was in the village. Casa Tapas I think it was although I used to go in La Tasca quite a lot when I lived in Manchester. I hate it where I live now, you are lucky to find a brewers fayre let alone a tapas bar. I've been out for one decent meal in 20 months and even then I'd had better lol!

Good luck with the offer, let us know what price you settle on! Oh and when's the flat warming!??

MM

clutton_2

dkps says " I haven't factored in interest rates rise," - this really worries me that so many young folk go into such a HUGE financial commitment without doing the necessary forward planning.

Pleeeeeeeeeease create a spreadsheet for yourselves, with ALL your future costs, and estimate your utility bills over the next 3 years and see what the figures look like; include changes in interest rates going up in .25% increases twice a year or so, up to 3% above what you are being offered now, and see if you can still afford it. What will you do if you cannot afford it ?

This is SUCH a serious matter - i speak to many young folk who just look at the nice flat/house whatever, with nice views, good bars, and they do not think of what the future might be. Negative equity and repossession will cause you so much heartache in the future, if you are buying beyond your means now. Unscrupulous mortgage brokers often want you to borrow the most you can so they get the largest fee they can.

i do hope this is not too depressing, but, house buying is a very serious business with harsh consequences if you get it wrong.:rolleyes:

meanmachine_2

Hold on a sec- so the original owners paid 180K for the pleasure of a new build and the OP is having to pay MORE to buy it off 'em?!

Blimey. They saw you coming, mate.

Still, it's what the place is worth to you, so good luck to you.

200K for a flat in Didsbury. The world has officially gone ba-honkers.

meanmachine_2

clutton wrote:

dkps says " I haven't factored in interest rates rise," - this really worries me that so many young folk go into such a HUGE financial commitment without doing the necessary forward planning.

The OPs only 25. Let them learn the hard way - if it comes to that.

Borrowing up to 225K, eh? Can I ask the OP what they earn?

dkps_2000

Meanmachine you'll have to excuse my ignorance, it's probably something obvious but what does OP stand for?

£200K for a flat in Didsbury isn't too bad to be honest, it's a reasonable price for a 2 bed.

An increase in the interest rate of 3% would increase my repayments by circa £300 which isn't too bad really, although no rise would be better of course!!

I was never going to borrow the full £225K although I was slightly tempted when I saw some of the gorgeous places around at the moment! My AIP was created from last years P60 (£51K) however I've been promoted since then so will earn 15% or so more this year

Mortgage Mamma I'll let you know when the flat warming is...... I'll get Casa Tapas to deliver the food ;-)

MortgageMamma

wicked I'l get the flamenco outfit out. thats flamenco not flamingo, although I expect I would look better the the latter.

Not been to a fancy dress party for a while.

BobProperty

meanmachine wrote:

Hold on a sec- so the original owners paid 180K for the pleasure of a new build and the OP is having to pay MORE to buy it off 'em?!

Blimey. They saw you coming, mate.

Still, it's what the place is worth to you, so good luck to you.

200K for a flat in Didsbury. The world has officially gone ba-honkers.

For those of you that know south Manchester and Stockport, I decided that when I saw a house in Reddish on the market at £250k.

MortgageMamma

lol bob! so where did you decide to settle and at what price? I am from the other side, Worsley

king_mongo2k

well done dkps_2000, you are doing well at 25yo & earning 51k. What do you work as/field do you work in? -only i'm looking at a change of career at the moment being 25 myself.

Also, being a ftb - what mortgage provider did you go with for your AIP?
I've been looking at apartments in my town also. They seem to be expensive considering you dont 'own' your land and managements fees etc... but they're just about the only way to get on the ladder and have retal potential.

dkps_2000

As suspected the first offer was turned down - they said it has to at least start with a 2. EA thinks that it would need to be in the region of £205-210K - the owners are aware that a couple of other flats in the same block have sold for £210K recently (not a bad profit for a year old!!). They're also not in a rush to sell as they have already moved out and into their new home

Any suggestions as to the next step please?

Lol btw MM, sure you would look good in either ;-)

King Mongo - I'm a Senior Recruitment Account Manager for a blue chip organisation, long hours but love the job and the fact it pays well is always a bonus! HSBC provided the AIP.